FBR and Lehman Brothers are lead bookrunners of the share sale. Following the flotation, FBR Capital’s holding company will retain approximately 53.1% of common stock. Prior to the deal, it owned 71.2% of shares.

FBR Capital is the latest in a string of initial public offerings from boutique investment banks. Cowen, Thomas Weisel Partners, Evercore Partners and Greenhill & Co have all gone public in the past two years, with varying degrees of success.

In February, JMP Securities,a technology-driven investment bank based in California, filed for a $100m flotaion. The bookrunners on the deal were Merrill Lynch and Keefe Bruyette & Woods.

Keefe Bruyette & Woods itself went public last year, raising $143m, with Merrill Lynch and itself as bookrunners. Another boutique investment bank, Ryan Beck, filed for an initial public offering last year but was acquired in January by Stifel Nicolaus for $91.1m.

FBR Group restructured last June to separate its real estate investment trust business and created FBR Capital Markets to look after investment banking, institutional brokerage and research. As part of the restructuring, private equity firm Crestview Partners took an 8% stake in the business for $100m. At the time FBR said it planned to raise another $300m in equity private placements.